---
title: "LLM Configuration: Powering Agent Intelligence"
sidebarTitle: "LLM Configuration: Powering Agent Intelligence"
---

Configuring an LLM is crucial for your AG2 agents - it's what gives them their thinking power! LLM Configuration defines how your agents connect to language models, specifying:

- Which language model provider and model to use
- How to authenticate with the provider
- Parameters that control the model's behavior
- Optional structured output formats for standardized responses

## Supported LLM Providers

Your agents deserve options! AG2 plays nicely with an impressive lineup of model providers:

- **Cloud Models**: OpenAI, Anthropic, Google (Gemini), Amazon (Bedrock), Mistral AI, Cerebras, Together AI, and Groq
- **Local Models**: Ollama, LiteLLM, and LM Studio

So whether you want to tap into cloud-based intelligence or keep things running on your local machine, AG2 has got you covered. You can find more information about the supported models in the [AG2 Models documentation](/docs/user-guide/models/amazon-bedrock).

!!! note
    **Starting with version 0.8**, AG2 takes a "bring your own LLM" approach - provider packages aren't included by default, so you'll need to install your favorites explicitly, for example:
    ```bash
    pip install ag2[openai]
    pip install ag2[gemini]
    pip install ag2[anthropic,cohere,mistral]
    ```

## Creating an LLM Configuration

Once you have installed AG2 with your preferred LLM provider, we need to create the LLM configuration object with the API type, model, and key if necessary.

Here are the different ways to create an LLM configuration in AG2:

### Method 1: Using Direct Parameters

The simplest approach is to directly specify the model provider, model name, and authentication:

```python hl_lines="4-17"
import os
from autogen import LLMConfig

llm_config = LLMConfig(
    {
        "api_type": "openai",
        "model": "gpt-5-nano",
        "api_key": os.environ["OPENAI_API_KEY"]
    },
    {
        "api_type": "openai",
        "model": "gpt-5",
        "api_key": os.environ["OPENAI_API_KEY"]
    }
)
```

### Method 2: Using the `config_list` Parameter

For more advanced scenarios, especially when you want to set up fallback models, use the `config_list` parameter.

```python hl_lines="4-8"
import os
from autogen import LLMConfig

llm_config = LLMConfig(config_list={
    "api_type": "openai",                      # The provider
    "model": "gpt-5-nano",                    # The specific model
    "api_key": os.environ["OPENAI_API_KEY"],   # Authentication
})
```

AG2's LLM configuration offers additional methods to create an LLM configuration, allowing you to specify multiple LLMs for fallback support and filtering them per agent. See the [LLM Configuration deep-dive](/docs/user-guide/advanced-concepts/llm-configuration-deep-dive) for more details.



!!! danger
    Never hard-code API keys or secrets in your code. Always use environment variables or secure configuration files. For example, you can set your API key in the environment like below:

    === "macOS / Linux"

         ```bash
        export OPENAI_API_KEY="YOUR_API_KEY"
        ```

    === "Windows"

         ```bash
        setx OPENAI_API_KEY "YOUR_API_KEY"
        ```

## Integrating LLM Configuration with Agents

Once you've created your LLM configuration, there are two ways to apply it to your agents:

### Method 1: Passing as a Keyword Argument

```python hl_lines="6"
from autogen import ConversableAgent

my_agent = ConversableAgent(
    name="helpful_agent",
    system_message="You are a poetic AI assistant",
    llm_config=llm_config
)
```

### Method 2: Using a Context Manager

The context manager approach applies the LLM configuration to all agents created within its scope:

```python hl_lines="3-12"
from autogen import ConversableAgent

finance_bot = ConversableAgent(
    name="finance_bot",
    system_message="You are a financial compliance assistant",
    llm_config=llm_config,
)

analysis_bot = ConversableAgent(
    name="analysis_bot",
    system_message="You analyze financial data for anomalies",
    llm_config=llm_config,
)
```

## Financial Compliance Example: LLM Configuration

Time to put theory into practice! Let's set up the brains for our financial compliance assistant:

```python
from autogen import LLMConfig
import os

# Basic configuration using environment variable
llm_config = LLMConfig(config_list={
    "api_type": "openai",
    "model": "gpt-5-nano",
    "api_key": os.environ["OPENAI_API_KEY"],
    "temperature": 0.2  # Lower temperature for more consistent financial analysis
})
```

**Code walkthrough**:

- We're using OpenAI's `gpt-5-nano` model because our financial bot needs smarts without breaking the bank. You can use a different model if you prefer.
- We've set temperature to 0.2 because when it comes to financial compliance, creativity is NOT what we want (sorry, creative accountants!)
- We're keeping our API key in an environment variable because security first, folks!

This configuration gives our financial compliance assistant the right balance of intelligence, consistency, and security - exactly what you want when dealing with suspicious transactions.

## Next Steps

Now that you've got the brains sorted for your AG2 agents, it's time to give them a body! Head over to [ConversableAgent](/docs/user-guide/basic-concepts/conversable-agent) to create actual thinking agents powered by your LLM configuration.
